1. Three solutions have been proposed for resolving the problems associated with filing financial statements across national borders: (1) reciprocity (also known as mutual recognition), (2) reconciliation, and (3) use of international standards.

Required: Present a complete but concise evaluation of each of the three approaches. What do you expect would be the preferred approach from the perspective of each of the following?

(1) investors, (2) company management, (3) regulatory authorities, (4) stock exchanges, and (5) professional associations?

Discuss your reasons for each response. Which approach do you predict will eventually prevail?

2. List and explain Some Significant Events in the History of International Accounting Standard Setting.